[Poll Proposal] – Create new Governance Community Fund

https://www.reddit.com/r/ethtrader/comments/ichgsn/poll_proposal_create_new_governance_community_fund/

Recent Poll Proposal for incentivizing providing liquidity has been created, with vocal support in favor. Former governance poll has recently halved donut issuance. To halt further reduction in rewards to the community, but still incentivize development of the DONUT, it is proposed that a Governance Community Fund is created and minted on top of the current distribution (DONUT only), monthly as per previous Community Fund.

The options to answer the poll will be:

Yes – Create a new Governance Community Fund equal to 10% of total monthly distribution of DONUT, half to be used for LP incentive and the other half for DONUT development

No

Math done by user and contributor Eth_Man shows that a 5% LP incentive would be adequate. Rewards would be as follows.

Rewards for LP:

1) REWARD_ALL=REWARD/(1+MULT) x f(Uniswap_Ownership_percent).

2) REWARD_CONTRIB=REWARD x MULT/(1+MULT) x f(min(CONTRIB, DONUTS_IN_UNISWAP))

f is the same function in both cases and basically the MULT effectively divides the rewards between the two groups. MULT=1 means equal split.

Vesting period of 1 month required. This gives a bonus reward to members of r/ethtrader that have contributed and incentivizes outside DONUT holders to join the sub and participate. LP incentive amount and MULT value could in the future be modified if technical need for change arises.

Remainder of the Governance Community Fund would be used for bounties on DONUT development or other, as would be decided by governance polls. For historical reference, previous community fund was 10% before removed at launch of DONUT token.

u/carlslarson u/nootropicat u/aminok

submitted by /u/peppers_
[link][comments]